Wednesday 18 July 2018

Park Academy portfolio at €7.6m offers 8.15pc yield

The Park Academy at the Beacon in the Sandyford Business District, Dublin
The Park Academy at the Beacon in the Sandyford Business District, Dublin
Ronald Quinlan

Ronald Quinlan

Agents Kelly Walsh are seeking offers in excess of €7.6m for the Park Academy portfolio, a collection of modern crèche facilities fully-let to Park Academy Limited.

The investment - which is being offered for sale in its entire or in four individual lots - is producing a combined rent roll of €646,838 per annum with a WAULT (weighted average unexpired lease term) of 13.75 years remaining. All units are let on FRI (full repairing and insuring) terms. The entire offers an investor an attractive return of 8.15pc after allowing for standard purchaser costs.

The portfolio comprises six separate facilities primarily located in south county Dublin with one situated in Greystones, in north county Wicklow.

The Park Academy in Cabinteely is the original, flagship facility which boasts a significant waiting list for registration. This is a ground-floor unit of a two-storey property extending to 319 square metres, with additional secure outdoor play areas. It is strategically-positioned within a densely-populated residential area and just two kilometres off the N11. The Park Academy in Cabinteely is let at €67,762 per annum.

Unit B7, B8 and B9 at Beacon Court in the Sandyford Business District offer approximately 900 square metres of prime accommodation presented over three floors. The property's specification includes a lift serving all floors, a fully-fitted kitchen and 15 secure underground car spaces. The unit is producing rental income of €169,096 per annum.

Nearby there are six suites in the Beacon South Quarter which extend to a combined 493 square metres over two floors. The suites are interconnected to form an impressive modern crèche facility. The property forms part of a nine-storey mixed-use scheme with apartments overhead. The asset is generating €106,231 per annum in rent.

Eden Gate in Greystones, Co Wicklow is a well-appointed, two-storey detached unit built approximately 10 years ago by Crampton. The building extends to over 850 square metres and benefits from a lift, fully-fitted kitchen and large, designated secure outdoor play areas. Eden Gate is let at €165,752 per annum.

Tullyvale in Cherrywood comprises the ground floor of this detached three-storey building with large secure outdoor play areas. The property is a short distance from the Luas stop at Bride's Glen. The ground floor is entirely self-contained with a floor plate of 461 square metres and is producing rental income of €90,573 per annum.

The smallest property in the portfolio is the ground-floor unit at the Thornwood on Booterstown Avenue.

The unit forms part of a three-storey, mixed-use building in this highly-sought-after location. Thornwood measures 147 square metres and generates a rental income of €47,424 per annum.

The directors of the Park Academy Limited have provided a personal guarantee on the rental income of each property for a period of three years.

Agents Kelly Walsh say the Park Academy portfolio represents an attractive opportunity to acquire a fully-tenanted portfolio of crèche facilities let to a market leader in their field.

Offers in excess of €7.6m are invited for the entire portfolio with individual lot prices available on request.

The tender date is set for Friday, November 17 next. The sale of the Park Academy portfolio will not be subject to VAT.

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